Problem 18-05 (Part Level Submission) Windsor Ranch & Farm is a distributor of ranch and farm...

Problem 18-05 (Part Level Submission)

Windsor Ranch & Farm is a distributor of ranch and farm equipment. Its products range from small tools, power equipment for trench-digging and fencing, grain dryers, and barn winches. Most products are sold direct via its company catalog and Internet site. However, given some of its specialty products, select farm implement stores carry Windsor’s products. Pricing and cost information on three of Windsor’s most popular products are as follows.

Item	Standalone Selling Price (Cost)
Mini-trencher	$ 3,800	($2,200	)
Power fence hole auger	1,000	(800	)
Grain/hay dryer	14,800	(10,100	)

Respond to the requirements related to the following independent revenue arrangements for Windsor Ranch & Farm.

(a)

(b)

(c)

(d)

On April 25, 2020, Windsor ships 110 augers to Farm Depot, a farm supply dealer in Nebraska, on consignment. By June 30, 2020, Farm Depot has sold 50 of the consigned augers at the listed price of $1,000 per unit. Farm Depot notifies Windsor of the sales, retains a 10% commission, and remits the cash due Windsor. Prepare the journal entries for Windsor and Farm Depot for the consignment arrangement. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter 0 for the amounts.)

Date	Account Titles and Explanation	Debit	Credit
Entries for Windsor
Apr. 25, 2020Jun. 30, 2020

Jun. 30, 2020


	(To record payment received)


	(To record sales)
Entries for Farm Depot
Apr. 25, 2020Jun. 30, 2020

	(To record consignment sales)



	(To record payment)
Apr. 25, 2020Jun. 30, 2020

Expert Solution

Entries for Windsor
Date		Debit	Credit	Calculation for your reference
Apr, 25	Consignment Inventory	88000		800*110
	Inventory		88000
	( to transfer inventory sent on consignment

Jun, 30	Cash	99000		(1000*110)-10%
	Consignee Account		99000
	( to book cash received from consignee

June, 30	Consignee Account	99000
	Commission Expense	11000		(1000110)10%
	Sales		110000
	( to book sales)


Entries for Farm Depot
Date		Debit	Credit
Apr, 25	NO Entry

Jun, 30	Cash	110000		(1000*110)
	Consignor Account		110000
	( to book money received from sales)

June, 30	Consignor Account	110000
	Commission Income		11000	(1000110)10%
	Cash		110000
	( to book sales)

ekkarill92 answered 2 years ago

Problem 3-3 (Part Level Submission) A review of the ledger of Windsor, Inc. at December 31...

Problem 3-3 (Part Level Submission) A review of the ledger of Windsor, Inc. at December 31 produces the following data for the preparation of annual adjusting entries: 1. Salaries and Wages Payable, $0. There are 9 salaried employees. 4 employees receive a salary of $1,230 each per week, and 5 employees earn $750 each per week. Employees do not work weekends. All employees worked two days after the last pay period and before December 31. 2. Unearned Rent Revenue, $376,020....

Bonita Ranch & Farm is a distributor of ranch and farm equipment. Its products include small...

Bonita Ranch & Farm is a distributor of ranch and farm equipment. Its products include small tools, power equipment for trench-digging and fencing, grain dryers, and barn winches. Most products are sold direct via its company Internet site. However, given some of its specialty products, select farm implement stores carry Bonita’s products. Pricing and cost information on three of Bonita’s most popular products are as follows. Item Stand-Alone Selling Price (Cost) Mini-trencher $3,900 ($2,200) Power fence hole auger 1,320 ($880)...

Buffalo Ranch & Farm is a distributor of ranch and farm equipment. Its products include small...

Buffalo Ranch & Farm is a distributor of ranch and farm equipment. Its products include small tools, power equipment for trench-digging and fencing, grain dryers, and barn winches. Most products are sold direct via its company Internet site. However, given some of its specialty products, select farm implement stores carry Buffalo’s products. Pricing and cost information on three of Buffalo’s most popular products are as follows. Item Stand-Alone Selling Price (Cost) Mini-trencher $2,900 ($1,640) Power fence hole auger 984 ($656)...

Coronado Ranch & Farm is a distributor of ranch and farm equipment. Its products include small...

Coronado Ranch & Farm is a distributor of ranch and farm equipment. Its products include small tools, power equipment for trench-digging and fencing, grain dryers, and barn winches. Most products are sold direct via its company Internet site. However, given some of its specialty products, select farm implement stores carry Coronado’s products. Pricing and cost information on three of Coronado’s most popular products are as follows. Item Stand-Alone Selling Price (Cost) Mini-trencher $3,000 ($1,720) Power fence hole auger 1,032 ($688)...

Waterway Ranch & Farm is a distributor of ranch and farm equipment. Its products include small...

Waterway Ranch & Farm is a distributor of ranch and farm equipment. Its products include small tools, power equipment for trench-digging and fencing, grain dryers, and barn winches. Most products are sold direct via its company catalogue and Internet site. However, given some of its specialty products, select farm implement stores carry Waterway’s products. Pricing and cost information on three of Waterway’s most popular products are as follows. Item Stand-Alone Selling Price (Cost) Mini-trencher $ 4,032 ($2,240) Power fence hole...

Problem 23-07 b-c (Part Level Submission) Windsor Company, a major retailer of bicycles and accessories, operates...

Problem 23-07 b-c (Part Level Submission) Windsor Company, a major retailer of bicycles and accessories, operates several stores and is a publicly traded company. The comparative balance sheet and income statement for Windsor as of May 31, 2020, are as follows. The company is preparing its statement of cash flows. WINDSOR COMPANY COMPARATIVE BALANCE SHEET AS OF MAY 31 2020 2019 Current assets Cash $28,200 $20,100 Accounts receivable 75,300 58,100 Inventory 219,000 249,800 Prepaid expenses 9,000 6,900 Total current assets...

Problem 18-01A a, b1 (Part Level Submission) Here are comparative statement data for Duke Company and...

Problem 18-01A a, b1 (Part Level Submission) Here are comparative statement data for Duke Company and Lord Company, two competitors. All balance sheet data are as of December 31, 2020, and December 31, 2019. Duke Company Lord Company 2020 2019 2020 2019 Net sales $1,884,000 $561,000 Cost of goods sold 1,070,112 297,330 Operating expenses 261,876 79,662 Interest expense 7,536 3,927 Income tax expense 52,752 6,171 Current assets 320,500 $311,800 83,200 $78,300 Plant assets (net) 519,000 497,300 139,800 124,500 Current liabilities...

Problem 18-5A (Part Level Submission) Lewis and Stark is a public accounting firm that offers two...

Problem 18-5A (Part Level Submission) Lewis and Stark is a public accounting firm that offers two primary services, auditing and tax-return preparation. A controversy has developed between the partners of the two service lines as to who is contributing the greater amount to the bottom line. The area of contention is the assignment of overhead. The tax partners argue for assigning overhead on the basis of 40% of direct labor dollars, while the audit partners argue for implementing activity-based costing....

Problem 24-01A a-c (Part Level Submission) (Video) Cook Farm Supply Company manufactures and sells a pesticide...

Problem 24-01A a-c (Part Level Submission) (Video) Cook Farm Supply Company manufactures and sells a pesticide called Snare. The following data are available for preparing budgets for Snare for the first 2 quarters of 2020. 1. Sales: quarter 1, 29,200 bags; quarter 2, 43,200 bags. Selling price is $61 per bag. 2. Direct materials: each bag of Snare requires 5 pounds of Gumm at a cost of $3.80 per pound and 6 pounds of Tarr at $1.50 per pound. 3....

Problem 18-5A (Part Level Submission) Viejol Corporation has collected the following information after its first...

Problem 18-5A (Part Level Submission) Viejol Corporation has collected the following information after its first year of sales. Sales were $1,600,000 on 100,000 units, selling expenses $220,000 (40% variable and 60% fixed), direct materials $508,000, direct labor $282,200, administrative expenses $272,000 (20% variable and 80% fixed), and manufacturing overhead $382,000 (70% variable and 30% fixed). Top management has asked you to do a CVP analysis so that it can make plans for the coming year. It has projected that...

Question